November 17, 2015 Dr. Venkata S.M. “Murthy” Renduchintala
Dear Murthy:
Congratulations! On behalf of Intel Corporation (“Intel or the “Company”), I am pleased to offer you the position of President of Intel’s Client and IoT Business and System Architecture Group, reporting to Brian Krzanich, Intel’s CEO. The role will be based in Santa Clara, California and you will be responsible for leading the following organizations: Client Computing Group, Platform Engineering Group, Software and Services Group, Design Tools Technology Group and Internet of Things Group. In this role, you will have direct contact and interaction with Intel’s Board of Directors and will have a leadership role amongst Intel’s most senior executives on our Management Committee (MCM).
Base Salary. Your starting annual base salary will be $900,000, less applicable taxes, deductions and withholdings. This base salary will be reviewed annually as part of our performance review process and will increase commensurate with your performance, as assessed by the CEO.
Annual Performance Bonus. You are eligible for an Annual Performance Bonus (APB) with a target of $2,100,000 (assumes a 3X multiplier on your APB base of $700,000). The APB is paid out in January for the prior year based on Intel’s financial performance, as well as achievement of specified operational goals, subject to the terms of the APB plan. The bonus will be prorated for any portion of 2015 that you are employed with Intel. However, to help with your employment transition, for the first three full years you are employed with Intel, if the actual APB bonus is less than 3X your APB base , we will provide you with a special bonus so that the combined bonuses for that year will equal $2,100,000.
Quarterly Profit Bonus. You are eligible for quarterly bonuses under the Quarterly Profit Bonus (QPB) plan. These bonuses are determined based on Intel’s quarterly profitability, subject to the terms of the QPB plan. Based on historical payouts, we anticipate this will pay you approximately $28,000 per quarter ($112,000 annually).
Time Will Tell, MR